Industry leaders' react to the Treasury committee's findings on the 'broken' business rates regime31 October 2019
Ed Cooke, Chief Executive of Revo, has responded to recommendations from the Treasury Committee on the reform of business rates
Revo represents all stakeholders in the £360 billion retail property sector, including retailers, property owners and local authorities.
Revo presented written evidence to the Committee, and in 2018 presented evidence in person on the damaging impact of business rates to the Homes, Communities and Local Government Select Committee on the future of town centres.
Ed Cooke, Chief Executive at Revo said:
“We are seeing unprecedented levels of distress in the retail sector and business rates are one of the root causes.
“While rents are adjusting to the new market dynamics, business rates continue to increase with retailers facing a further £137 million hike from April 2020, and over 12,000 shops paying more in rates than they do in rent.
“Revo has campaigned for reform of the business rates system for many years, as this outdated form of taxation does not reflect the rise of e-commerce and how value is created in the modern economy, is out of step with other European countries and ultimately is accelerating the decline of our high streets and towns centres.
“We’re delighted the Committee supports a number of our recommendations, not least to explore in detail a way of generating tax revenues that are less reliant on physical retail space. We need inward investment into our urban environments, and this tax is a significant and material barrier to this investment happening in the quantum it needs to.”
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